Preface : B2B versus B2C
If you intend to be an entrepreneur, you must have heard these concepts. But if you haven’t heard these meanings, we have to tell you that this time we at our white paper have gone to marketing content and the meaning of consumer marketing or B2C. In this article, we are going to talk about B2C marketing concepts and strategies and how to implement them. So be with us.
What Is B2B?
In the economic issue, we come across different terms and topics, each of which has its meaning and concept. Economic terms do not have a clear meaning, and one should have information about them by researching. One of these terms is called Business-to-Business or B2B for short.
This term means transactions between merchants, which can be referred to as transactions between major sellers who sell major products to each other. Next to B2B, there is another widely used term, which is Business-to-Customer or B2C.
This term means a commercial transaction between a producer and a consumer, which is the most common type of commercial transaction in the market. Most of the transactions are based on this term, and it is somewhat common. The volume of transactions in B2B is much higher than in B2C, so it should be considered wide and voluminous. The reason for that is the transactions that are made in the production of a product, for example, when a tire is produced, the manufacturing factory turns to other factories for the supply of raw materials and makes transactions to buy materials, hence the volume We are a wide range of transactions.
Most of the products that are traded in B2B are bought by companies that use it to produce other products. Therefore, the products traded in B2B do not reach the consumer and are mostly rejected by merchants and manufacturers.
We also see some B2C transactions that eventually lead to a B2B transaction. Therefore, different business models are related to each other, and B2B and B2C transactions can lead to each other.
If we want to give an example for a B2B or Business-to-Business purchase, we should say that buying a hotel for customers, and buying office supplies for a government company or organization are all considered B2B transactions. B2B and B2C transactions are expanded and used not only in the real world but also in the virtual space.
What is B2C?
In the economic issue, we come across different terms and topics, each of which has its meaning and concept. Economic terms do not have a clear meaning, and one should have information about them by researching. One of these terms is called Business to Consumer or B2C for short.
This term means transactions between the producer and the consumer, which can refer to the transactions that are conducted between the seller and the consumer and the manufactured products presented to the consumer. In addition to B2C, there is another widely used term, which is B2B, and it is closely related to this term.
In B2C business, everything is clean and clear, and like B2B, two groups are not the same, and we are facing two different groups. Each of these strata deals with something, one of them produces a product and the other buys the product as a consumer. Therefore, we are facing two different strata, each of which performs a task, and in this transaction, money is exchanged between them and creates an economic cycle.
One of the most common businesses should be considered B2C or Business to Consumer, which takes place in a major way in our daily life and around us. In Business to Consumer, the seller sells a product to the buyer or the same consumer. Most of the existing online stores operate based on this type of business and sell their products. For example, when you buy a product in an online store, you are following Business to Consumer or B2C business.
This type of business is very profitable and useful for people who are known as sellers. This kind of business allows such people not only to sell their products in the physical world but also to find customers in the virtual world and earn more profit. Of course, some competitors may make e-commerce difficult for them, but in general, in B2C business, more benefits include the seller.
With this account, B2C business or Business to Consumer can be considered as one of the common economic businesses that many people take advantage of and act on it.
What are the differences between B2B and B2C marketing?
B2C marketing is the opposite of B2B marketing. In B2C marketing, a final recipient is a person. But in B2B marketing, each business is directly related to another business.
Among the other differences between these two models, the major connection of consumer marketing is related to the Internet. Considering this issue, the marketer must have complete information about new advertising techniques and the virtual world. In this case, it can offer its products or services to customers and provide them with sufficient information about the products.
In consumer marketing, the final decision maker is only one person. But in the B2B model, for business owners, the products themselves have a very high risk, and they have to spend time, money, etc. for each part.
If we want to briefly talk about the differences between B2C and B2B marketing :
- Consumer marketing focuses more on emotion because it is directly related to the end consumer. But B2B marketing focuses more on logic because it needs to be approved by a group and financially justified before a purchase is made.
- In consumer marketing, the consumer needs digestible information in summary. What matters in B2C is the attractiveness of information and advertising. But in B2B marketing, information should be granular and detailed. Even briefing sessions should be held for it.
- In B2C, the consumer may follow one brand, but if a newer and more exciting brand comes along, he will easily leave the previous brand and go for the new brand. In this style of marketing, loyalty means nothing. But in B2B marketing, most marketers give useful content and information to their customers and create value for them and try to build a relationship that won’t break with one or two mistakes.
- In consumer marketing, the first and last decision-maker is the consumer, but in B2B industrial marketing, before the purchase is made. An agreement must be reached with many people such as financial advisors, shareholders, managers, etc.
In B2C marketing, it is possible to increase the speed of customer acquisition. But you have to plan to keep these customers. The more successful your marketing is, the more your product sales will increase.
B2B vs B2C marketing compared (infographic)
Whether you’re advertising for your business or you’re an agency serving your clients, you must understand the key differences between B2B and B2C marketing. Once you understand these five key differences, you can take advantage of certain tactics only applicable to B2B or B2C businesses.
Image via Directive
By having a sophisticated understanding of both B2B and B2C marketing strategies, you can easily apply these tactics and ramp up lead generation and revenue for your business.
Professor Siavosh Kaviani was born in 1961 in Tehran. He had a professorship. He holds a Ph.D. in Software Engineering from the QL University of Software Development Methodology and an honorary Ph.D. from the University of Chelsea.
More than 15 years of relevant practical and professional in Europe, the SADC region & the U. K. with management, administration, planning, coordinating, quality assurance & control technical/environmental studies, surveys, designs, Preparation of specifications, and contract administration of European Development Funds (EDF), World Bank, DANIDA, BADEA, AfDB funded projects and FIDIC Conditions of contract. , specifications, tender documentation, construction supervision, and contract administration and resolution of construction disputes, financial control, training, maintenance management, Construction Dispute Adjudication, Arbitration, and Mediation.